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Property Acquistiion_430 Garfield Avenue_KlauerTHE CITY OF Dui Masterpiece on the Mississippi TO: FROM: SUBJECT: DATE: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager Dubuque band AI -America City r 2007 • 2012 • 2013 Bee Branch Creek Restoration Project, Partial Acquisition of 430 Garfield CIP 7201654 July 15, 2014 The City requires the total acquisition of a portion of the property owned by Robert F. Klauer at 430 Garfield Avenue for the Bree Branch Creek Restoration Project. The City also requires two temporary construction easements through property to be retained by Mr. Klauer. Mr. Klauer has agreed to sell the portion of his property at 430 Garfield Avenue that the City requires for the Bee Branch Creek Restoration Project and the two temporary construction easements for $500,401.00. This is an appropriate amount based on the appraisal and the value of the temporary easements. In addition to the compensation due Mr. Klauer for the property to be acquired by the City, Mr. Klauer will be compensated in the same manner as other property owners under the guidelines established by the Federal Uniform Relocation Act. In order to feel comfortable proceeding with the real estate transaction, Mr. Klauer has drafted and signed a Memorandum of Understanding regarding reimbursable relocation and re- establishment expenses, as well as additional points of discussion that arose during negotiations. Both City Engineer Gus Psihoyos and City Attorney Barry Lindahl were consulted regarding the various terms which were found to reflect the various discussions regarding relocation and re-establishment reimbursements and generally found to be acceptable to the City. City Engineer Gus Psihoyos recommends City Council approve the Offer to Buy and Acceptance to purchase the required portion of 430 Garfield Avenue and two temporary construction easements through 430 Garfield Avenue that are required for the Bee Branch Creek Restoration Project for $500,401. It is further recommended that the Memorandum of Understanding be executed with Robert Klauer regarding relocation and re-establishment expenses and points of discussion that arose during negotiations. I concur with the recommendation and respectfully request Mayor and City Council approval. .�st✓�'�t Y � Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Jenny Larson, Budget Director Gus Psihoyos, City Engineer Deron Muehring, Civil Engineer II 2 Masterpiece on the Mississippi Dubuque ktrall All-Americacity 1111 2007 • 2012 .2013 TO: Michael C. VanMilligan FROM: Gus Psihoyos, City Engineer SUBJECT: Bee Branch Creek Restoration Project, Partial Acquisition of 430 Garfield CIP 7201654 DATE: July 11, 2014 INTRODUCTION The purpose of this memorandum is to request City Council approval to acquire property and temporary easements from Robert F. Klauer, owner of 430 Garfield Avenue, as required for the Bee Branch Creek Restoration Project. BACKGROUND In December of 2001, the City Council formally adopted the Drainage Basin Master Plan (DBMP) prepared by HDR Engineering (Omaha, Nebraska). Based on the study, approximately 1,150 homes and businesses in the Bee Branch watershed are at risk of flood damage. In July of 2003 the City Council approved a Relocation Assistance Policies and Procedures Manual (Acquisition Manual) for property acquisitions associated with the Bee Branch Flood Mitigation Project. The Acquisition Manual was written to comply with Iowa Code Chapter 316 requirements for provision of relocation assistance to persons displaced by governmental acquisitions. The purpose of the relocation assistance legislation is to establish a uniform policy for the fair and equitable treatment of persons displaced in order that the persons shall not suffer disproportionate injuries as a result of projects designed for the benefit of the public and to minimize the hardship of displacement. The operative principle is to "make whole" those persons whose property is acquired for a public purpose. In December of 2004, the City Council established the alignment for the Bee Branch Creek Restoration Project, from 15th and Sycamore Streets to 24th and Washington Streets, and established a building permit moratorium for the properties based on the alignment. In September of 2013, the City Council adopted Resolution 291-13 amending the alignment of the Bee Branch Creek Restoration Project in the vicinity of Garfield Avenue. The amended alignment passes through 430 Garfield Avenue. In September of 2013, the City Council passed Resolution 292-13 establishing the fair market value of the portion of 430 Garfield required by the City and authorizing the City Manager to enter into good faith negotiations, and if necessary, commence eminent domain proceedings to acquire the property. DISCUSSION The Bee Branch Creek Restoration Project (Project) only requires a portion of the property at 430 Garfield Avenue. The owner, Mr. Robert F. Klauer, operates his business Dubuque Furniture and Flooring on the premises. The portion to be acquired by the City will result in the loss of 0.3 acres and 10,000 square feet of show room and stock room space. Mr. Klauer will be able to continue to operate his business on the property by constructing an addition behind his existing building funded in part with the relocation benefits afforded to him in accordance with Iowa Code Chapter 316 which outlines assistance to persons displaced by governmental acquisitions. The attached Exhibit A reflects the re -platting of the 430 Garfield Avenue into Lot 1 of Bee Branch Subdivision No. 11 (Lot 1) which Mr. Klauer will continue to own and Lot 2 of Bee Branch Subdivision No. 11 (lot 2) which the City is to acquire. The City also requires temporary construction easements through Lot 1 of Bee Branch Subdivision No. 11 for the Bee Branch Creek Restoration Project. Because the City is only purchasing a portion of 430 Garfield, the compensation due Mr. Klauer is not based on the market value of property to be acquired (Lot 2), but rather the change in value of 430 Garfield before and after the City acquires Lot 2. Based on the appraisal report, the value of 430 Garfield prior to the City taking is $780,000.00 and $380,000.00 after the City taking. Therefore, the amount due Mr. Klauer as a result of the City taking is $400,000.00 ($780,000 less $380,000). However upon review, the appraisal report did not recognize that the removal of the 10,000 square foot building required for the City project on Lot 2 requires the removal of a second, structurally integral building addition on Lot 1. When adjusted accordingly for the removal of this addition, the compensation due is $459,000.00. The City is also in need of two temporary construction easements through Lot 1 (see attached Exhibit B and C) to be utilized by the City's contractor during construction of the Bee Branch Creek Restoration Project. Mr. Klauer, has agreed to sell Lot 2 and provide the two temporary construction easements to the City for $500,401.00. This is an appropriate amount based on the appraisal and the value of the temporary construction easements. As mentioned, Mr. Klauer will be able to continue to operate his business on the property by constructing a new addition behind his existing building. Because construction of the new addition will be funded in part with the relocation benefits and because the construction must be sequenced and coordinated with the construction of the City's Project, a Memorandum of Understanding (MOU) has been negotiated outlining reimbursable relocation and re-establishment expenses, as well as, addition points of discussion that arose during property negotiations. The main purpose of the MOU is to ensure that both parties have a clear understanding of the obligations and expectations of each other. One issue of note is related to the parking area to be constructed by the City just south of Garfield Avenue as part of the Bee Branch Creek Restoration Project. See attached MOU Exhibit A. The City will use the paved parking area primarily to gain access to a proposed underground storm sewer junction chamber for periodic cleaning and maintenance. In addition, Public parking spaces will be provided. Anyone, including Mr. Klauer, will have the ability to utilize the public parking area. As outlined in the MOU, should the City receive a bona fide offer to lease the parking lot, Mr. Klauer will have a right -of -first -refusal to match the offer and lease the area per the terms and conditions set forth in the bona fide offer. Enclosed are the Offer to Buy Real Estate and Acceptance (the Offer) and the Memorandum of Understanding (MOU) signed by the owner of 430 Garfield Avenue, Mr. Robert F. Klauer, and signed by his wife Lisa Klauer. RECOMMENDATION I recommend that the City purchase Lot 2 of Bee Branch Subdivision No. 11 and two temporary construction easements through Lot 1 Bee Branch Subdivision No. 11 per the terms of the attached Offer and MOU. BUDGET IMPACT The purchase price is within the budget established for the property. It will be funded from the FY2013 appropriation of $2,723,388 for property acquisitions for the Bee Branch Creek Restoration Project (CIP# 7201654). ACTION TO BE TAKEN I respectfully request adoption of the attached resolution approving the Offer and authorizing acceptance of the Warranty Deed and any other related steps necessary to carry out the terms of the Offer and MOU. Attach. Prepared by Deron Muehring cc: Barry Lindahl, City Attorney Jenny Larson, Budget Director Steve Sampson -Brown, Project Manager Deron Muehring, Civil Engineer Exhibit A - uie meal tstate to De Acquired by city 1 (563) 556-2464 DUBUOUE, IOWA 4155 PENNSYLVANIA AVE U CL PREPARED E _rJIIII IIIIIIIIIII►IIIIt NORTH GRAPHIC SCALE 0 30 60 1"=30' DRAWING MAY HAVE BEEN REDUCED PLAT' OF SURVEY LOTS 1 AND 2 OF BEE E3RANCI=I 5 QF,� QEFPGS •.0 \\%<6C/\\ „ Q-3\ (D\. \ \ LOT 2 13,030 SQ. FT. $ .299 ACRES SUBDIVISION NO. 11 DESCRIPTION: LOT 1 OF LOT 2 OF LOT 2 0- LOT 2 OF MINERAL LOT 106, LOT 2 OF LOT 2 OE LOT 2 OF LOT 2 OF MINERAL LOT 106, LOT 3 OF LOT 2 OF LOT 2 OF LOT 2. OF MINERAL LOT 106, ALL IN THE CITY OF DUBUQUE, IOWA NOTE THIS SURVEY IS SUBJECT TO EASEMENTS, RESERVATIONS, RESTRICTIONS AND RIGHTS--OF-WAY OF RECORD AND NOT OF RECORD. rk<- c3 \-30 ps- os s �jgTF 0 57,", STo� 0 \0S \00 DETAIL: N.T.S. LOT 1 24,570 SQ. FT. 0.564 ACRES N58'22'14"W-' 5.00' (5,0') N24'10'09"W 2.2.59' (23.0') \ PROPERTY LINE That part of Lots 1 of 2 of 2 of 2; 2 of 2 of 2 of 2, and 3 of 2 of 2 of 2, of Mineral Lot 106 S14'47'41 "E 15.77' BUILDING FACE LOT LINE 2h•6' 5/114' 7/'1h 44 .03 5 \O \p6 \� PROPRIETOR: ROBERT I<LAUER \o� X00 SURVEYED FOR: CITY OF DUBUQUE DATE OF SURVEY: OCTOBER 4, 2.013 TOTAL\AREA SURVEYED: 37,600 SQ.FT. 0.£363 ACRES It gyp\ p1 LEGEND PROPERTY BOUNDARY - - — LOT LINE -- APPROXIMATE EDGE STORM SEWER - — APPROXIMATE CL STORM SEWER X CHAINLINK FENCE 1 \ \ \i. BUILDING LINE ( ) RECORDED AS ® FOUND CUT "X" ® FOUND 1 1/4" DIA. IRON PIPE ® FOUND DRILL HOLE ® SET RR SPIKE • SET CUT "X" ® SET MAG NAIL Co SET 5/8" IRON REBAR WITH RED PLASTIC CAP NO. 20999 N.T.S. NOT TO SCALE ROW RIGHT OF WAY CL CENTERLINE DETAIL: N.T.S. CORNER FALLS ON STORM INTAKE 51) e0. R �\ l s �1 T 011111111111111" ```\ `\ , , , , "l�/.T' •, /2 * . • JEFFREY J. BRANDT = c LS 20999; •2 .Sn rl rrrnirrT `J����`` hh �rn o �/ N rye. co' I HEREBY CERTIFY THAT THIS LAND SURVEYING DOCUMENT WAS PREPARED AND THE RELATED SURVEY WORK WAS PERFORMED BY 1.1E OR UDDER MY DIRECT PERSONAL SUPERVISION AND THAT I AV. A DULY LICENSED LAND SURVEYOR UNDER THE LAWS OF THE STATE OF IOWA. FOR I11Y, P.C. BRM T OATE LICENSE NO. 20999 MY LICENSE RENEWAL DATE IS 12/31/2013 PAGES OR SHEETS COVERED BY THIS SEAL SHEETS 1 1< 2 11 CITEGRRY.E)(PERRSE.SOLUTIONS vmw.11wengr.com .900,556A491 DRAWN BMR PLAT NO. 36 -IA -13 CHECKED JJB PROJ. NO. 06169-02 DATE 10-4-13 SHEET 1or 2 P:\O6\I69\169-02\DRANINGS\SVR\06169 BOUNQARY Exhibit B - Temporary Construction Easement I 1 I Approximate Easement Limits LTJ SEE plc iVRESEELO.Y 430 Garfield REMOVE EXISTING OVERHANG I — 1 Ir II II II 1 --T--2�.._ F L1 DEMO BY CITY I DEMO BY CIIY Q U M JI Exhibit C e Temporary Construction Easement A atc4 a. t,l //�� :. O O VLV ()AIR OMH e YJyV 7 -c !1 ...\ 1. -_z._„_._-_-_.-_._-._..,.,_=.__-_.-.—i—_—..__--_-'_;—_--'.-_— =--''=''„',,::---- ;-- -:_ :4 7 TEMPORARY CONSTRUCTION EASEMENT . 5,075± SF OMH eWwv OMH &. STORAGE, 1 -" 11 `1 `1 11 OWNER: 8&A1 PROP OWNER: BMA PROP OATH NORTH HORIZONTAL SCALE IN FEET 0 20 40 DRAWNG MAY HAVE BEEN REDUCE U ow. e.c j • • uIw ARCHITECTURE CML ENGINEERING CONSTRUCTION SERVICES ENVIRONMENTAL ENGINEERING LAND SURVEYING MUNICIPAL ENGINEERING STRUCTURAL ENGINEERING TRANSPORTATION ENGINEERING LYTECRITYDPERTISESOLUDONS IIII CITY OF DUBUQC E Mashapiree ill hie Mississippi © COPYRIGHT 2012 ALL RIGHTS RESERVED. THESE DOCUMENTS HAVE BEEN PREPARED SPECIFICALLY FOR THIS PROJECT 01.57. NO PART OF THIS DOCUMENT MAY BE REPRODUCED OR DISTRIBUTED IN ANY FORM VNTHOUT THE PERMISSION OF IM✓. P.C. ALL INFORMATION IN THIS DOCUMENT IS CONSIDERED PROPERTY OF BIN. P.C. r s (Li x4. aW U OREg z m 0 0 c n Sheet No ( EX-KLAUER Project No: 06169-02 Preparer: Maureen Quann, Suite 330, Harbor View Place, 300 Main Street, Dubuque, IA 52001 (563) 583-4113 Return to: Kevin Firnstahl, City Hall, 50 W. 13th St., Dubuque, IA 52001, (563) 589-4121 RESOLUTION NO. 209-14 RESOLUTION APPROVING THE ACQUISITION OF REAL ESTATE OWNED BY ROBERT F. KLAUER, IN THE CITY OF DUBUQUE Whereas, the City of Dubuque intends to acquire certain real estate located in the area of the Bee Branch Creek Restoration Project (Project) for stormwater mitigation activities as recommended in the 2001 "Drainage Basin Master Plan" and as amended in 2013; and Whereas, the City Council established the alignment for the Bee Branch Creek Restoration Project, establishing properties to be acquired for the Bee Branch Creek Restoration Project with the adoption of Resolution 491-04; and Whereas, the City Council amended the alignment with the adoption of Resolution 291-13 establishing the need for certain real estate owned by Robert F. Klauer (the Owner) legally described as follows (the Property): Lot 2 of Bee Branch Subdivision 11; and Whereas, an Offer to Buy and Acceptance and a Memorandum of Understanding has been negotiated with the Owner. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the City Council of the City of Dubuque, Iowa hereby approves the Offer to Buy Real Estate and Acceptance attached hereto. Section 2. The City Manager is hereby authorized to execute the Memorandum of Understanding attached hereto. Section 3. That the City of Dubuque be and is hereby authorized to accept a Warranty Deed to the Property, conveying the owner's interest to the City of Dubuque, Iowa for the herein described real estate. Section 4. That the City Attorney be and is hereby authorized and directed to cause said Warranty Deed to be recorded in the office of the Dubuque County Recorder, together with a certified copy of this Resolution. Section 5. That the City Attorney be and is hereby directed to forward a copy of this Resolution to the Dubuque County Assessor and the Dubuque County Auditor. Passed, approved and adopted this 21st day of July, 2014. Attest: Kevin .. Firnstahl, it PLi Roy D. B , Mayor CERTIFICATE of the CITY CLERK STATE OF IOWA ) SS: COUNTY OF DUBUQUE ) I, Kevin S. Firnstahl, do hereby certify that I am the duly appointed, qualified, City Clerk of the City of Dubuque, Iowa, in the County aforesaid, and as such City Clerk, I have in my possession or have access to the records of the proceedings of the City Council. I do further state that the hereto attached Resolution No. 209-14 is a true and correct copy of the original. In Testimony Whereof, I hereunto set my hand and official seal of the City of Dubuque, Iowa. Dated at Dubuque, Iowa, on this 30th day of July, 2014. Kev . Firnstahl, C ity Clerk OFFER TO BUY REAL ESTATE AND ACCEPTANCE TO: Robert F. Klauer, Seller SECTION 1. REAL ESTATE DESCRIPTION. The City of Dubuque, Iowa (Buyer) offers to buy all of Seller's right, title and interest in and to the real estate in Dubuque County, Iowa, described as follows: Lot 2 Bee Branch Subdivision No. 11 shown on attached Exhibit A (the Real Estate). Buyer will pay all costs of survey and platting and abstracting the Real Estate following the Closing. Seller shall cooperate fully in all surveying and platting. SECTION 2. PURCHASE PRICE. The Purchase Price for the real estate and temporary easements shall be as follows, payable in cash at Closing: $500,401.00 subject to all of the terms and conditions herein. SECTION 3. REAL ESTATE TAXES. Seller shall pay all unpaid real estate taxes for fiscal years prior to fiscal year 2013-2014 and real estate taxes for fiscal year 2013-2014 prorated to the date of possession. SECTION 4. SPECIAL ASSESSMENTS. Buyer shall pay all special assessments which are a lien as of the date of closing. SECTION 5. RISK OF LOSS AND INSURANCE. Seller shall bear the risk of loss or damage to the Real Estate prior to closing or possession, whichever first occurs. Seller agrees to maintain existing insurance and Buyer may purchase additional insurance. In the event of substantial damage or destruction prior to closing, this Agreement shall be null and void; provided, however, Buyer shall have the option to complete the closing and receive insurance proceeds regardless of the extent of damages. The Real Estate shall be deemed substantially damaged or destroyed if it cannot be restored to its present condition on or before the closing date. SECTION 6. CARE AND MAINTENANCE. The Real Estate shall be preserved in its present condition and delivered intact at the time possession is delivered to Buyer, provided, however, if there is loss or destruction of all or any part of the Real Estate from causes covered by the insurance maintained by Seller, Buyer at its option may agree to accept such damaged or destroyed Real Estate together with such insurance proceeds in lieu of the Real Estate in its present condition and Seller shall not be required to repair or replace same. SECTION 7. POSSESSION AND CLOSING. If Seller timely performs all obligations, and all contingencies are met or waived, possession of the Real Estate shall be delivered to Buyer on or before August 1, 2014 (the Closing Date), or such other date as the parties 030614d1m may agree in writing with any adjustments of taxes, rent, insurance, and interest to be made as of the date of transfer of possession. SECTION 8. USE OF PURCHASE PRICE. At time of settlement, funds from the Purchase Price may be used to pay taxes and other liens and to acquire outstanding interests, if any, of others. SECTION 9. ABSTRACT AND TITLE. Buyer, at its expense, shall promptly obtain a lien search or an abstract of title to the Real Estate continued through the date of acceptance of this offer which shall show merchantable title in Seller in conformity with this agreement, Iowa law and Title Standards of the Iowa State Bar Association. The abstract shall become the property of the Buyer when the purchase price is paid in full. Buyer shall pay the costs of any additional abstracting and title work due to any act or omission of Seller, including transfers by or the death of Seller or its assignees. SECTION 10. DEED. Upon payment of the purchase price, Seller shall convey the Real Estate to Buyer, by Warranty Deed prepared by Buyer. SECTION 11. TIME IS OF THE ESSENCE. Time is of the essence in this contract. SECTION 12. JOINT TENANCY IN PROCEEDS AND IN REAL ESTATE. If Seller, immediately preceding acceptance of this offer, holds title to the Real Estate in joint tenancy with full right of survivorship, and the joint tenancy is not later destroyed by operation of law or by acts of the Seller, then the proceeds of this sale, and any continuing or recaptured rights of Seller in the Real Estate, shall belong to Seller as joint tenants with full rights of survivorship and not as tenants in common; and Buyer, in the event of the death of either Seller, agree to pay any balance of the price due Seller under this contract to the surviving Seller and to accept a deed from the surviving Seller consistent with paragraph 11. SECTION 13. JOINDER BY SELLER'S SPOUSE. Seller's spouse, if not a titleholder immediately preceding acceptance of this offer, executes this contract only for the purpose of relinquishing all rights of dower, homestead and distributive shares or in compliance with Section 561.13 of the Iowa Code and agrees to execute the deed or real estate contract for this purpose. SECTION 14. REMEDIES OF THE PARTIES. a. If Buyer fails to timely perform this contract, Seller may forfeit it as provided in the Iowa Code, and all payments made shall be forfeited or, at Seller's option, upon thirty days written notice of intention to accelerate the payment of the entire balance because of such failure (during which thirty days such failure is not corrected) Seller may declare the entire balance immediately due and payable. Thereafter this contract may be foreclosed in equity and the Court may appoint a receiver. 2 b. If Seller fails to timely perform this contract, Buyer has the right to have all payments made returned to them. c. Buyer and Seller also are entitled to utilize any and all other remedies or actions at law or in equity available to them and shall be entitled to obtain judgment for costs and attorney fees as permitted by law. SECTION 15. APPROVAL OF COURT. If the sale of the Real Estate is subject to Court approval, the fiduciary shall promptly submit this contract for such approval. If this contract is not so approved, it shall be void. SECTION 16. CONTRACT BINDING ON SUCCESSORS IN INTEREST. This contract shall apply to and bind the successors in interest of the parties. SECTION 17. CONSTRUCTION. Words and phrases shall be construed as in the singular or plural number, and as masculine, feminine or neuter gender, according to the context. SECTION 18. TIME FOR ACCEPTANCE. If this offer is not accepted by Seller on or before 5 o'clock p.m. August 1, 2014 it shall be void. SECTION 19. OTHER PROVISIONS. 19.1. Buyer, its counsel, accountants, agents and other representatives, shall have full and continuing access to the Real Estate and all parts thereof, upon reasonable notice to Seller for the purpose of inspecting, surveying, engineering, test boring, performance of environmental tests and such other work as Buyer shall consider appropriate, provided that Buyer shall hold Seller harmless and fully indemnify Seller against any damage, claim, liability or cause of action arising from or caused by the actions of Buyer, its agents, or representatives upon the Real Estate (except for any damage, claim, liability or cause of action arising from conditions existing prior to any such entry upon the Real Estate), and shall have the further right to make such inquiries of governmental agencies and utility companies, etc. and to make such feasibility studies and analyses as Buyer considers appropriate. 19.2. Seller warrants that the rights of all tenants shall be terminated by Seller prior to closing and that there will be no tenants whose rights in the Real Estate survive the closing. This covenant shall survive the closing. 19.3. Environmental Provision. (1) Seller warrants to the best of its knowledge and belief that there are no abandoned wells, solid waste disposal sites, hazardous wastes or substances, underground storage tanks, burial sites or private wastewater disposal systems located on the Real Estate, the Real Estate does not contain radon gas, asbestos or asbestos containing building materials, or urea -formaldehyde foam insulation, and Seller has done nothing to cause or allow contamination of the 3 Real Estate with hazardous wastes, substances, or pollutants. Seller warrants to the best of its knowledge and belief that the Real Estate is not subject to any local, state, or federal judicial or administrative action, investigation or order regarding any environmental matter. Seller shall provide Buyer with a properly executed Groundwater Hazard Statement showing no wells, solid waste disposal sites, hazardous wastes, underground storage tanks, private burial sites or private wastewater disposal systems on the Real Estate which shall be considered a warranty and representation by Seller to Buyer. 19.4. Buyer will pay Seller all expenses, including relocation expenses and other expenses, required by law for costs Seller incurs and for which Seller provides proper evidence. Seller acknowledges that in order to qualify for moving and re-establishment benefits, Seller must actually move and re-establish the business and incur expenses in connection with the moving and re-establishment. 19.5. Seller agrees to vacate the Real Estate not less than 90 days from the Closing Date. At the end of such ninety -day period, any property remaining on the Real Estate, including personal property, trade fixtures, fixtures and the building, becomes the property of Buyer without further action by Seller. 19.6. Seller agrees to grant to Buyer at Closing for no additional consideration a temporary construction easement as needed to allow Buyer to demolish the building on the Real Estate as shown in Exhibit B. Buyer will at its cost demolish the building, including disconnecting and capping all utilities. Following demolition, Buyer will at its cost reconstruct the wall between the building to be demolished and the remaining building, such wall to be sufficient to support the remaining building. Any damage to the remaining building resulting from demolition shall be repaired by Buyer at Buyer's cost. Buyer shall be responsible at Buyer's cost for all shoring and securing the existing wall during and after demolition until demolition is complete and the reconstructed wall is completed. Buyer shall at Buyer's expense repair all damage to the remaining building caused by or resulting from the demotion of the building to be demolished. Buyer shall reimburse Seller for any damage to personal property or inventory caused by or resulting from the demolition of the building to be demolished. 19.7. Seller also agrees to grant to Buyer at Closing for no additional consideration a temporary construction easement shown on Exhibit C for use by the Buyer for a period of 18 months to provide additional work space and access to the Buyer's Bee Branch Creek Restoration Project. The Seller reserves unto itself the right and privilege to use the temporary construction easement area to access the Real Estate to construct Dubuque Furniture & Flooring Phase 1 Addition when conditions allow and the use thereof is not inconsistent with the Buyer's use for the purpose or purposes permitted by this Agreement or which unreasonably interferes with or restricts the rights granted to Buyer. 19.8. The Offer is subject to final approval by the City of Dubuque City Council. 4 Dated: 7 0). el/7 THIS OFFER IS ACCEPTED Dated: CITY OF DUBUQUE, IOWA, ROBERT F. KLAUER BUYER SELLER By: Michael C. Van Milligen City Manager 5 NK\A-Dtic7._ LISA KLAUER SELLER 4155 PENNSYLVANIA AVE PREPARED BY: Exhibit A - the Real Estate to be Acquired by City lm111111lluull,•. NORTH GRAPHIC SCALE 0 30 60 1"=30' DRAWING MAY HAVE BEEN REDUCED LOTS 1 q°� 1> hC- `6p 0 �y P \5� 1�9• 0.5) �.\BOG Gp, �� 0p Q�CQ"o pF \-6C,06. O. PLAT OF SURVEY AND 2 OF BEE RANCH bcb TA That part of Lots 1 of 2 of 2 of 2; 2 of 2 of 2 of 2, and 3 of 2 of 2 of 2, of Mineral Lot 106 ,M arV SUBDIVISION NO. 11 DESCRIPTION: LOT 1 OF LOT 2 OF LOT 2 OF LOT 2 OF MINERAL LOT 106, LOT 2 OF LOT 2 OF LOT 2 OF LOT 2 OF MINERAL LOT 106, LOT 3 OF LOT 2 OF LOT 2 OF LOT 2 OF MINERAL LOT 106, ALL IN THE CITY OF DUBUQUE, IOWA NOTE THIS SURVEY IS SUBJECT TO EASEMENTS, RESERVATIONS, RESTRICTIONS AND RIGHTS-OF-WAY OF RECORD AND NOT OF RECORD. Nol Nol LEGEND PROPERTY BOUNDARY ---- LOT LINE — — — — APPROXIMATE EDGE STORM SEWER — - — APPROXIMATE CL STORM SEWER CHAINLINK FENCE \ \ \ \ \ BUILDING LINE ( ) RECORDED AS 0 FOUND CUT "X" • EB ■ A 0 N.T.S. ROW CL FOUND 1 1/4" DIA. IRON PIPE FOUND DRILL HOLE SET RR SPIKE SET CUT "X" SET MAG NAIL SET 5/8" IRON REBAR WITH RED PLASTIC CAP NO. 20999 NOT TO SCALE RIGHT OF WAY CENTERLINE 53.84 — • 7 p3' W f Q p0,4.4.0, ^') Q OA / 44 _ I N2 22.59' (23.0') 124.6 7g,47' t' S �35'+ T%' � i 577�4'44.,w 1 BUILDING FACE LOT LINE \•,5, 1 \D'(; p <•)4 1"» \ ti• �7 ----• ' 156 2 PROPRIETOR: ROBERT KLAUER �o. goo \ SURVEYED FOR: CITY OF DUBUQUE DATE OF SURVEY: OCTOBER 4, 2013 TOTAL AREA SURVEYED: 37,600 SQ.FT. 0.863 ACRES a`,,ppIIII,I,,,,, :"'*. JEFFREY J. BRANDT LS 20999 = >•° AN ,, ,, N,,,, 40 ```` DETAIL: N.T.S. CORNER FALLS ON STORM INTAKE I HEREBY CERTIFY THAT THIS LAND SURVEYING DOCUMENT WAS PREPAREO AND THE RELATED SURVEY WORK WAS PERFORMED BY ME OR UNDER MY DIRECT PERSONAL SUPERVISOR AND THAT 1 AM A DULY LICENSED LAND SURVEYOR UNDER 1HE LAWS OF THE STATE Or IOWA 3.00. FOR 11W, P.C. 2Lr�/ �✓ '-r 707_,c-, 7 J. B T DATE UCENSE N0. 20999 MY LICENSE RENEWAL DATE IS 12/31/2013 PACES OR SHEETS COVERED BY THIS SEAL SHEETS 1 & 2 uIw 9REORRYO2ERTISE50LU110114 wH".IINm1r,c0m • 000.550MJ1 A7 NO. 36—IA-13 CHECKED JJB PROJ. NO, 06109-02 OATS 10-4-13 SHEET 1 of 2 P.\06\169\169-02\ORAN91CS\SUR\06169 BOUATJARY MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF DUBUQUE, IOWA AND ROBERT KLAUER d/b/a DUBUQUE FURNITURE AND FLOORING This Memorandum of Understanding, dated for reference purposes the -;S day of , 2014, is entered into by and between the City of Dubuque, Iowa, a municipal corporation organized and existing under the laws of the State of Iowa (City), and Robert Klauer d/b/a Dubuque Furniture and Flooring (Klauer). Whereas, City is acquiring a portion of property (the Acquisition Parcel) owned by Klauer located at 430 Garfield Avenue (the Property) for construction of the Bee Branch Creek Part 1 Project (the Project); and Whereas, City believes the Project will be beneficial to the community; and Whereas, City and Klauer desire to enter into an agreement outlining their respective rights and responsibilities throughout the Project. NOW, THEREFORE IT IS AGREED BY AND BETWEEN THE PARTIES AS FOLLOWS: 1. City will provide relocation and re-establishment expenses as provided by the "Federal Uniform Relocation Act" (the federal Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, Pub. L. No. 91- 646, as amended by the Uniform Relocation Act Amendments of 1987, Tit. IV, Pub. L. No. 100-17). 2. City will be constructing a public parking lot on a portion of the Acquisition Parcel as shown on Exhibit A. So long as the parking lot is a public parking lot, Klauer will have a nonexclusive privilege to park in the parking lot, subject to City's sole right to establish fees, time limits and other regulations for public parking. If the City receives a bona fide offer from a third party to lease the entire parking lot, City shall give notice to Klauer stating the price and terms upon which the parking lot is to be leased. Klauer shall have the right to lease the parking lot at the price and on the terms so stated. If Klauer does not so elect to lease the parking lot within 20 days from the date on which Klauer receives written notice as set out above, then the City shall have the right to lease the parking lot at not less than the price so stated and not on terms more favorable to the third party; thereafter, Klauer shall no longer have a right of first refusal hereunder. 3. City hereby grants Klauer an easement for ingress and egress as shown on Exhibit A to provide access to Klauer's building at 430 Garfield Avenue. The KlauerM00041514ba1+ easement will continue so long as the building remains at 430 Garfield Avenue. Klauer acknowledges that City retains the right to interrupt such access for a reasonable period of time for public purposes. This easement shall remain in effect if a Y party leases this acquired property. 4. City will grant Klauer access to storm water drains located at the rear of 430 Garfield Avenue as shown on Exhibit A for rainwater runoff from the existing building and a building to be constructed by Klauer. Prior to making the connection Klauer shall submit plans to City for review and approval through City's site plan approval process. The connection shall be subject to all City, State and Federal regulations that may apply. The City does not currently charge a fee to make a private connection to the public City stormwater management system. The City will not charge Klauer for making a connection to the public stormwater drainage system if the connection is made within three years of the execution of this Memorandum of Understanding. 5. Klauer will retain full ownership and salvage rights to the personal property, fixtures, and the building on the Acquisition Parcel. Salvage may commence immediately after the Offer to Buy and Acceptance for the Acquisition Parcel and this Agreement are is signed by both parties and approved by the City Council. Salvaging must be conducted in a safe manner and must be completed not later than ninety (90) days after the closing date on the Acquisition Parcel. Klauer agrees to provide City with a list of items that will be salvaged at the time of closing. Klauer agrees to defend, indemnify, and hold harmless City, its officers and employees from and against any claim arising out of or related to Klauer's salvaging. Klauer will maintain during such salvaging general liability insurance as described in the Insurance Schedule attached hereto. 6. Upon Klauer's request, City will install parking meters directly in front of 422 and 430 Garfield Avenue. This in no way limits the City's ability to manage and control public parking in this area. 7. City assumes complete responsibility for demolition of the Acquisition Parcel building. The City agrees to defend, indemnify, and hold Klauer harmless from any claim related to the integrity of the Klauer building to remain arising out of or related to said demolition or construction of the Project. 8. Upon demolition of the Acquisition Parcel building, City will construct and finish the interior and exterior 2 -story wall on the east side of 430 Garfield Avenue. Interior construction will be plasterboard and painted to match existing walls. The exterior will be patched with matching brick. The building envelope will be constructed in a manner to assure weather proofing. All work by the City will be completed in general conformance with the Secretary of the Interior's Standards for Rehabilitation of historic buildings and as detailed on attached plan sheets 3690.0 — S690.9, M691.0 and M691.1. Such construction must not 2 customers, including all showroom space, bathrooms, stairs and elevator during normal business hours. Such construction must not unreasonably interrupt Klauer doing business in those areas. Klauer agrees to provide City's contractor with 'reasonable access to those areas and to allow for safe work areas. 9. City will grant Klauer an easement on the east side of 430 Garfield Avenue as shown on Exhibit A for an ADA access ramp to be built along the side Klauer's building. 10. City and Klauer will cooperate so that Klauer has reasonable access over the Acquisition Parcel to the Property so that both parties are able to meet their respective construction needs. Klauer acknowledges that City will need to interrupt Klauer's access for a period of time over the Acquisition Parcel during construction of the Project. 11. City's temporary construction easement shown on Exhibit A will terminate as soon as City's contractor is substantially complete with the Project. Klauer agrees to allow City to install and then abandon in place any tie backs or other feature used to temporarily support the Klauer building foundation during construction of the Project so long as such feature does not reasonably interfere with Klauer's use of 430 Garfield Avenue. City's temporary construction easement shown on Exhibit B will terminate when City's deconstruction and building envelope repair on the Property is complete. 12. The Closing Date on the Acquisition Parcel shall be on or before August 1, 2014. 13. The exclusive remedy of Klauer under this Agreement for breach of this Agreement is the correction of such breach. City will not be liable for incidental, consequential, indirect, special, punitive, or exemplary damages of any kind, or for lost goodwill, lost profits, lost business, cost of cover or other indirect economic damages, or injury to property. CITY OF DUBUQUE, IOWA ROBERT KLAUER d/b/a DUBUQUE FURNITURE AND FLOORING Roy D. B}dol, Mayor Kevi. Firnstahl, City`-Olerk 3 Robert Klauer, President Li. aIauer mom rcrow P.46 aGT CVCIVN NOM= CNINNOONNT., rannroun 4ND BUINCNNG WPOCWM LNONNANO MUM., RAxrONNO TPMNOxirTNOION ONI Cn1NO .:: NOVAK. SOH NA MOON NUNONS TIER DINT af15NP\!m1H ! NM PNON= OLV. OM'Ot TNI PCONKNr Y. MONUTp'Mm Gc OR MO,ONcD al INTIM TN NS.OrN MC.AO NE NOPYIL' MOMS. INV OLVON WINNOW n tINV. D rrtatrfroriw. Doc ID 008076270004 Ty GEN K nd DEED W TN RESOLUTION Recorded: 08/21/2014 at 04:20:51 PM Fee Amt: $827.00 Page 1 of 4 Revenue Tax: $800.00 Dubuque County Iowa Kathy Flynn Thurlow Recorder F11e2014-00009207 ©THE IOWA STATE BAR ASSOCIATION Maureen A. Quann FOR THE LEGAL EFFECT OF THE USE OF Offidal Form No. 101 - August 2013 `G THIS FORM, CONSULT YOUR LAWYER Return To: Preparer: Maureen A. Quann 300 Main Street, Suite 330, Dubuque. Iowa 52001 (563) 589-4381 Maureen A. Ouann 300 Main Street, Suite 330, Dubuque, Iowa 52001 (563) 589-4381 Taxpayer: sm Ca • 7 For the Robert F. City ofDubuque_Iowa 50 West 13th Street Dubuque, Iowa 52001 ip WARRANTY DEED consideration of one Dollar(s) and other valuable consideration, Klauer and Lisa L. Klauer, husband and wife do hereby Convey to the City of Dubuque, Iowa the following described Lot 2 of thereof Grantors title in fee is free and Warrant and Each of the real estate. or plural number, Dated: real estate in Dubuque County, Iowa: Bee Branch Subdivision. No. 11 do Hereby Covenant with grantees, simple; that they have good and lawful clear of all liens and encumbrances Defend the real estate against undersigned hereby relinquishes Words and phrases herein, including and as masculine or feminine $r /mss`, in the City of Dubuque, Iowa, according to the recorded Plat and successors in interest, that grantors hold the real estate by authority to sell and Convey the real estate; that the real estate except as may be above stated; and grantors Covenant to the lawful claims of all persons except as may be above stated. all rights of dower, homestead and distributive share in and to the acknowledgment hereof, shall be construed as in the singular gender, according to the context. Robert F. STATE OF This record Klauer and Klauer IOWA COUNTY (Grantor) me and i a L. 4. .uer (Grantor) OF Dubu was acknowledged before Lisa L. Klauer, husband L this, V} day of u�.� 01'`d by Robert F. wife U 7 g MAUREEN A. QUANN r r,- - Commission Num er 7 My Comm. Exp.0 2,R 9401 Signature of Notary Public (This form of acknowledgment for individual grantor(s) only) a a� Ce 1-0,0e( Preparer: Maureen Quann, Suite 330, Harbor View Place, 300 Main Street, Dubuque, IA 52001 (563) 583-4113 Return to: Kevin Firnstahl, City Hall, 50 W. 13th St., Dubuque, IA 52001, (563) 589-4121 RESOLUTION NO. 209-14 RESOLUTION APPROVING THE ACQUISITION OF REAL ESTATE OWNED BY ROBERT F. KLAUER, IN THE CITY OF DUBUQUE Whereas, the City of Dubuque intends to acquire certain real estate located in the area of the Bee Branch Creek Restoration Project (Project) for stormwater mitigation activities as recommended in the 2001 "Drainage Basin Master Plan" and as amended in 2013; and Whereas, the City Council established the alignment for the Bee Branch Creek Restoration Project, establishing properties to be acquired for the Bee Branch Creek Restoration Project with the adoption of Resolution 491-04; and Whereas, the City Council amended the alignment with the adoption of Resolution 291-13 establishing the need for certain real estate owned by Robert F. Klauer (the Owner) legally described as follows (the Property): Lot 2 of Bee Branch Subdivision 11; and Whereas, an Offer to Buy and Acceptance and a Memorandum of Understanding has been negotiated with the Owner. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the City Council of the City of Dubuque, Iowa hereby approves the Offer to Buy Real Estate and Acceptance attached hereto. Section 2. The City Manager is hereby authorized to execute the Memorandum of Understanding attached hereto. Section 3. That the City of Dubuque be and is hereby authorized to accept a Warranty Deed to the Property, conveying the owner's interest to the City of Dubuque, Iowa for the herein described real estate. Section 4. That the City Attorney be and is hereby authorized and directed to cause said Warranty Deed to be recorded in the office of the Dubuque County Recorder, together with a certified copy of this Resolution. Section 5. That the City Attorney be and is hereby directed to forward a copy of this Resolution to the Dubuque County Assessor and the Dubuque County Auditor. Passed, approved and adopted this 21st day of July, 2014. Attest: Kevin .. Firnstahl, it PLi Roy D. B , Mayor CERTIFICATE of the CITY CLERK STATE OF IOWA ) SS: COUNTY OF DUBUQUE ) I, Kevin S. Firnstahl, do hereby certify that I am the duly appointed, qualified, City Clerk of the City of Dubuque, Iowa, in the County aforesaid, and as such City Clerk, I have in my possession or have access to the records of the proceedings of the City Council. I do further state that the hereto attached Resolution No. 209-14 is a true and correct copy of the original. In Testimony Whereof, I hereunto set my hand and official seal of the City of Dubuque, Iowa. Dated at Dubuque, Iowa, on this 30th day of July, 2014. Kev . Firnstahl, C ity Clerk iiiiiii iDIH iii hili hili hili hili hili hili hili iii i hili hili hili ilii iiia D c ID 008076280002 Type GWH K'nd GRO NDWATER HAZARD R corded: 08/21/2014 at 04:21:10 PM F e Amt: $0.00 Page 1 of 2 D buoue County Iowa Kathy Flynn Thurlow Recorder F11e2014-00001352 REAL ESTATE TRANSFER - GROUNDWATER HAZARD STATEMENT TO BE COMPLETED BY TRANSFEROR TRANSFEROR: Name Robert F. Klauer and Lisa L. Klauer Address 430 Garfield Avenue Dubuque Iowa 52001 Number and Street or RR City, Town or P.O. State Zip TRANSFEREE: Name City of Dubuque, Iowa Address 50 West 13th Street Dubuque Iowa 52001 Number and Street or RR City, Town or P.O. State Zip Address of Property Transferred: 430 Garfield Avenue Dubuque Iowa 52001 Number and Street or RR City, Town or PO. State Zip Legal Description of Property: (Attach if necessary) Lot 2 of Bee Branch Subdivision. No. 11 in the City of Dubuque, Iowa, according to the recorded Plat thereof 1. W -ON's (check one) There are no known wells situated on this property. ® There is a well or wells situated on this property. The type(s), location(s) and legal status are stated below or set forth on an attached separate sheet, as necessary. 2. Solid Waste Disposal (check one) There is no known solid waste disposal site on this property. _ There is a solid waste disposal site on this property and information related thereto is provided in Attachment #1, attached to this document. dous Wastes (check one) There is no known hazardous waste on this property. There is hazardous waste on this property and information related thereto is provided in Attachment #1, attached to this document. 4. Underground Storage Tanks (check one) X_ There are no known underground storage tanks on this property. (Note exclusions such as small farm and residential motor fuel tanks, most heating oil tanks, cisterns and septic tanks, in instructions.) There is an underground storage tank on this property. The type(s), size(s) and any known substance(s) contained are listed below or on an attached separate sheet, as necessary. FILE WITH RECORDER DNR form 542-0960 (July 18, 2012) 2014 —9207 5. Pi to Burial Site (check one) T here are no known private burial sites on this property. _ There is a private burial site on this property. The location(s) of the site(s) and known identifying information of the decedent(s) is stated below or on an attached separate sheet, as necessary. 6. Private Sewage Disposal System (check one) All buildings on this property are served by a public or semi-public sewage disposal system. This transaction does not involve the transfer of any building which has or is required by law to have a sewage disposal system. There is a building served by private sewage disposal system on this property or a building without any lawful sewage disposal system. A certified inspector's report is attached which documents the condition of the private sewage disposal system and whether any modifications are required to conform to standards adopted by the Department of Natural Resources. A certified inspection report must be accompanied by this form when recording. There is a building served by private sewage disposal system on this property. Weather or other temporary physical conditions prevent the certified inspection of the private sewage disposal system from being conducted. The buyer has executed a binding acknowledgment with the county board of health to conduct a certified inspection of the private sewage disposal system at the earliest practicable time and to be responsible for any required modifications to the private sewage disposal system as identified by the certified inspection. A copy of the binding acknowledgment is attached to this form. There is a building served by private sewage disposal system on this property. The buyer has executed a binding acknowledgment with the county board of health to install a new private sewage disposal system on this property within an agreed upon time period. A copy of the binding acknowledgment is provided with this form. There is a building served by private sewage disposal system on this property. The building to which the sewage disposal system is connected will be demolished without being occupied. The buyer has executed a binding acknowledgment with the county board of health to demolish the building within an agreed upon time period. A copy of the binding acknowledgment is provided with this form. [Exemption #9] _ This property is exempt from the private sewage disposal inspection requirements pursuant to the following exemption [Note: for exemption #9 use prior check box]: The private sewage disposal system has been installed within the past two years pursuant to permit number Information required by statements checked above should be provided here or on separate sheets attached hereto: I HEREBY DECLARE THAT I HAVE REVIEWED THE INSTRUCTIONS FOR THIS FORM AND THAT THE INFORMATION STATED ABOVE IS TRUE AND CORRECT. Signature: fr--;;40, -u- (Transferor or Agent) FILE WITH RECORDER Telephone No.: s4a---74-94,6 DNR form 542-0960 (July 18, 2012)